MFR - Limiting Competition under SAT - Candela_Redacted.pdf

This document is a Memorandum for Record - Limiting Competition at or below the Simplified Acquisition Threshold for the Medical Readiness Contracting Activity (USAHCA) at Fort Shafter, Hawaii. The contract is for Maintenance and Repair Services for a Candela GentleMax Pro Derm Laser, to be awarded to Candela Corporation in September 2025 using Fiscal Year 26 Defense Health Program (DHP) funds. The contract will be a firm-fixed price type for the Bassett Army Community Hospital's Department of Medical Maintenance, covering all labor, parts, material, and travel to repair and maintain government-owned equipment according to Original Equipment Manufacturer specifications.

The justification for sole-source procurement is based on Candela being the only authorized service provider for its branded systems. Market research confirmed that while other companies can provide dermatological laser maintenance services, only Candela can perform the specific requirements for the GentleMax Pro Derm Laser. A sole source letter dated 10 June 2025 states Candela is the "sole authorized sales and service agent for its full line of products in the USA." The government notes that failure to obtain these services will result in mission failure for the Dermatology Department at BACH, making this a critical acquisition with no anticipated competition.